Is the Auntie Annes Master Insurance Policy Fee currently charged to franchisees?
Auntie_Annes Franchise · 2024 FDDAnswer from 2024 FDD Document
| Type of Fee1, 3 | Amount | Date Due | Remarks |
|---|---|---|---|
| Master Insurance Policy Fee | Currently not charged; we do not have an estimate at this time. | As incurred | We reserve the right to obtain a master insurance policy on behalf of the System for certain types of coverage and require you to pay all or a portion of your proportionate share of coverage under the master policy to us or our Approved Supplier. |
Source: Item 6 — OTHER FEES (FDD pages 30–44)
What This Means (2024 FDD)
According to Auntie Annes's 2024 Franchise Disclosure Document, the Master Insurance Policy Fee is currently not charged to franchisees. However, Auntie Annes reserves the right to obtain a master insurance policy on behalf of the System for certain types of coverage.
If Auntie Annes implements a master insurance policy, franchisees may be required to pay a proportionate share of the coverage. This payment would be made either to Auntie Annes or to their Approved Supplier. The FDD does not provide an estimate of what this fee might be if it is implemented.
As a prospective franchisee, it's important to note that while this fee is not currently in effect, Auntie Annes retains the right to introduce it in the future. It would be prudent to inquire with Auntie Annes about the potential circumstances under which this fee might be implemented and if there are any projected costs associated with it.